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WorksheetsPOB Unit 5 Test Review
Total questions: 31
Worksheet time: 31mins
Which of the following items would be considered a non-economic want:
a car
new clothing
a walk
nutritious food
A business that begins selling winter holiday decorations in late autumn is creating __________ utility.
possession
time
place
form
A major characteristic of a market economy is ____________ ownership of property.
private
government
limited
monopolistic
Which of the following is a problem associated with communist command economies?
There are high taxes
Individuals run the risk of losing their business
Supply and demand control what will be produced
There is no competition
Countries whose governments provide citizens with free medical care, education, and other benefits often are referred to as ________________ states
consumer
welfare
military
capitalist
The basic role of the United States government is to:
protect U.S. citizens
maintain control of prices
increase production
limit business startups
In a private enterprise economic system, the interaction of supply and demand primarily determines:
the extent of pollution
economic choices
product prices
government regulation
Who decides how goods and services will be marketed in a private enterprise economic system?
competitors
Business People
consumers
legislators
What do economists call the intersection of a Demand curve and a Supply curve?
Surplus
Rationing
Shortage
Equilibrium price
The three economic questions each organization must answer are; What should be produced? How should it be produced? and:
Why should it be produced?
When should it be prodcued?
Where should it be produced?
For whom it should be produced?
For a business, income remaining after payment of expenses is:
capital
profit
debt
loss
Which of the following is an example of a speculative business risk?
A special promotion fails to increase sales.
A customer is injured at a business and sues the company.
A cashier gives unauthorized discounts to friends.
A supplier's shipment is lost in transit.
What is a business's net profit if it has $762,750 in income, $291,400 in operating expenses, and $238,930 in cost of goods?
$471,350
$232,420
$525,820
$368,730
Which of the following represents a natural risk for the owner of a delivery service?
Snowstorm
Government intervention
Accident
Rising Prices
In business terms, what is profit?
A risky venture
a good investment
A holiday bonus
A monetary reward
Carefully selecting goods or services to sell is an example of handling business risks by _______________ the risk.
bypassing
controlling
transferring
avoiding
Which of the following factors has aided the most in creating a global business environment?
technology
cultural changes
exchange rates
government
Which of the following is an outside factor that affects the business environment?
staff organization
industry competition
Information management
conflict negotiation
Which of the following is an example of an economic factor that affects the business environment?
Long-term goals
Employee morale
Business cycle
Management style
Which of the following affects the business environment because it provides the most options for consumers?
International sanctions
Command economy
Monopoly
Global competition
Business ethics involve considering issues about what is:
positive and negative
safe and unsafe
right and wrong
legal and illegal
Which of the following is an example of unethical business behavior?
Misleading customers
Identifying target markets
Questioning standards
Persuading others
Which of the following is an example of ethical business behavior?
Accepting a bribe from a prominent customer
Testing products to ensure they are safe to use
Using advertisements to confuse customers
Disclosing partial information about products
Businesses that successfully adapt to current market situations often realize that:
more financing is necessary
cutting costs is important
change is opportunity
diversification is the key
Which of the following situations would most likely indicate the need to adapt to changes in the business environment?
The business has experienced little employee turnover during the past year.
The supply of materials used in manufacturing a product has decreased.
The demand for your product is stable.
The number of your business's competitors has decreased.
Which of the following provides government protection of business property?
Economic incentives
Consumer-protection laws
Patents
Revenues
One of the reasons that has caused government's role in business to expand is that:
people's attitudes have changed.
competition in the marketplace has increased.
costs of production have continued to increase.
products have become very technical.
Which of the following is a way that government can borrow money from the private sector in order to pay the costs of regulation?
By setting prices
By raising taxes
By selling licenses
By issuing bonds
Which of the following is a way that the productivity of an individual worker can be measured?
By dividing the total number of products by the number of production steps
By dividing the dollar totals of sales by the costs of making all of those sales
By dividing the number of customers served by the number of hours an employee worked
By dividing the dollar totals of sales by the number of salespeople who made the sales
The formula that is generally used to measure productivity is:
goods divided by time
labor divided by resources
inputs divided by labor
outputs divided by inputs
